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In this video, Seth provides a brief overview of promissory notes, which are lending instruments used for centuries. A promissory note is a document that outlines the terms and conditions between a borrower and a lender, specifying the amount owed and any interest payments. Seth explains that promissory notes can be structured in various ways, including options for balloon payments—where interest-only payments are made initially followed by a full balance payment—or straight-line amortization, which involves fixed payments throughout the loan's duration without a balloon payment at the end.
